Tom Lee Reveals Three Possible Triggers Behind Bitcoin and Crypto Market Crash

BitMine Immersion Technologies chairman Tom Lee has identified three possible factors behind the cryptocurrency market crash that erased billions in value.

According to Lee, declining technology stocks, investor preparations for Anthropic’s anticipated IPO, and Binance-related withdrawals may explain the widespread selling pressure. Bitcoin has dropped toward $60,000, while Ethereum and other major cryptocurrencies have recorded substantial losses amid growing market uncertainty.

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Tom Lee Links Crypto Sell-Off to Technology Stocks and Binance Hack

Lee identified declining artificial intelligence and semiconductor stocks as one possible factor contributing to the cryptocurrency market downturn. Nvidia’s recent stock losses may have triggered margin calls among leveraged investors, particularly those operating across Asian financial markets.

Investors facing these obligations may have sold cryptocurrency holdings to secure additional liquidity and cover outstanding positions. Besides technology sector losses, Lee identified Anthropic’s anticipated initial public offering as another possible explanation for the selling pressure.

Some investors may be liquidating existing cryptocurrency and equity positions to raise capital for participation in the expected offering. Meanwhile, the $6.3 billion Binance security breach in October represents another potential source of market instability.

Lee suggested that affected customers may be withdrawing recovered assets or converting their cryptocurrency holdings into stablecoins. Additionally, concerns surrounding artificial intelligence cybersecurity risks and tighter American semiconductor export restrictions could influence investor sentiment.

Bitcoin Falls Toward $60,000 as Crypto Liquidations Reach $2 Billion

Bitcoin dropped below $70,000 on November 13 before extending its decline beneath $66,000 during Saturday’s trading session. By November 15, Bitcoin had fallen toward $62,112, reaching its lowest reported trading level since July.

Ethereum experienced substantial losses, declining toward $1,711, while XRP and Solana also recorded significant price reductions. According to CoinGlass, approximately $2 billion in leveraged cryptocurrency positions faced liquidation within 24 hours, primarily affecting bullish traders.

Meanwhile, institutional investors reduced exposure through exchange-traded funds as selling pressure spread across cryptocurrency markets. Between October 30 and November 13, U.S. spot Bitcoin ETFs recorded nearly $3 billion in net outflows.

The withdrawals accompanied widespread derivatives liquidations, reflecting substantial pressure across institutional investment products and leveraged trading positions. Lee’s explanations remain unconfirmed as Bitcoin, Ethereum, and other cryptocurrencies face persistent selling pressure across global markets.